Attendees
Kirk Krack, Mandy Cruickshank, Tom Lightfoot, Ken McCallum, Perry Gladstone.
Call to Order
This special meeting concerning the CAFA budget was held at CAFA Headquarters, 106 – 3533 West 4th Avenue in Vancouver. The meeting was called to order at 7:14 pm.
Budget
Prior to the meeting, Kirk, Mandy and Perry created some anticipated revenue and expense breakouts, presenting expected, best and worst cases. Cash flow projections were also presented.
Team Canada Sponsorship and Expenses
Since much of the sponsorship money for Team Canada moves through the CAFA bank account, the team’s revenue and expenses showed up on the projected cash for the Association. However, Team Canada’s finances are revenue neutral to the bank account and should not be included in the budget planning process. Future budget projections will not include Team Canada sponsorship and expenses. When convenient, the team will get its own bank account.
Contingency Reserve
Perry proposed having a contingency reserve fund. The board agreed that 200% of the annual projected operating expenses would be a reasonable size for the reserve. The plan is to build the reserve up to full size over a four year period as shown by the table below:
| Year | Target reserve relative to projected expenses |
|---|---|
| 2002-3 | 50% |
| 2003-4 | 100% |
| 2004-5 | 150% |
| 2005-6 | 200% |
| 2006- | 200% |
As the projected expenses change from year to year, the amount to put into the reserve will be a moving target. Even after four years, the reserve will need to be topped up as expenses increase.
As the current projected expenses for the year are $2,460, the contribution to the reserve will be $1,230.
Cash Flow
CAFA’s biggest single expense is the liability insurance policy which is $1,800 and is due each August. Expenses will have to be timed so that there is enough money in the bank at the end of the fiscal year.
Spending Priorities
After spending $2,460 on operating expenses and $1,230 on the contingency reserve, There should be $1,800 left over from the bank and the year’s revenues to pay for programs in keeping with CAFA’s mission. Perry identified four major goals:
Education Public education about freediving and CAFA
- Web site
- Trade shows
- Media relations
Instruction
- Judge in learning course
- Safety/support seminar
- Basic/intermediate/advanced courses
- Instructor certification
Participation
- Club development
- Facility development
- Environment
Competition
- Loal, regional and national competitions
- Team Canada at international competitions
- National records
The board finalized on the following prioritized list of expenses within the above four goals:
| Priority | Goal | Description | Amount |
|---|---|---|---|
| 1 | Competition | Subsidizing Nationals as required | $500 |
| 2 | Education | CDROM or binder with CAFA procedures and competition manual | $400 |
| 3 | Education | Honorarium to Jane for translating CAFA’s main documents into French | $250 |
| 4 | Participation Instruction |
Compensation for any shortfalls for freediving clinics | $500 |
| 5 | Participation | Merchandise or other means of giving value to being a CAFA member | $250 |
| Total | $1,900 | ||
Notes:
Perry proposed priority 4 to encourage more clinics in locations which do not yet have CAFA members. The money for shortfalls will be on a first-come first-served basis but the board will most actively pursue opportunities to get clinics and CAFA participation going in the Montreal area.
Perry will make a proposal for priority 5 at the next executive meeting.
Adjournment
The meeting was adjourned at 11:30 pm.